President Donald Trump’s trillion-dollar request for defense in his fiscal 2026 budget request tells investors something: Trump’s peace through strength positioning isn’t bad for the industry. But the proposed spending levels might not lead to a bump for defense stocks just yet.

President DONALD TRUMP and Defense Secretary PETE HEGSETH have promised a $1 trillion defense budget. Their budget doesn’t deliver it — unless you squint. The plan the White House unveiled last week falls short unless Congress passes a one-time funding boost and includes spending from outside the Pentagon’s regular budget.

President Donald Trump released a budget request Friday that would dramatically slash some federal spending, the initial step in a monthslong process that will include heated debate on Capitol Hill as both political parties work toward a final government funding agreement.

KEY TAKEAWAYSPresident Donald Trump on Sunday said he has authorized a 100% tariff on movies made overseas. The news surprised the movie industry and media giants as Trump extended the reach of his trade policy beyond the import of physical goods.

Declaring foreign film production a national security threat, the president said he had asked his top trade official to start the process of imposing a tax on Hollywood.